BoE plans to loosen capital rules on banks in latest easing of post-2008 controls

Bank of England says stress tests show seven biggest lenders can weather financial hit in severe downturn

• Business live – latest updates

The Bank of England is planning to ease capital rules for high street banks for the first time in a decade, marking the latest attempt to loosen regulations designed to protect the UK economy in the wake of the 2008 financial crisis.

The central bank has proposed lowering capital requirements related to risk weighted assets, by one percentage point to about 13%, reducing the amount lenders must hold in reserve. The move is designed to make it easier to lend to households and businesses.

Continue reading…

Source: www.theguardian.com

Read full article